9 Most Severe Market Crash Moments in Crypto History

Jakarta, Pintu News – The October 10, 2025 crypto market crash has shaken the world of digital finance once again. In a single day, more than Rp315 trillion ($19 billion) worth of leveraged positions in Bitcoin (BTC) and altcoins were liquidated, putting the market in panic mode.

However, throughout the history of cryptocurrencies, there have been some much more jarring moments – when Bitcoin lost more than 90% of its value in just a matter of hours.

From the Mt. Gox incident in 2011 to the FTX bankruptcy in 2022, each crisis brought important lessons for crypto investors. Here are 9 of the darkest moments in Bitcoin’s journey that shaped the face of the industry to this day!

1. June 2011: Mt. Gox Flash Crash

The first and most extreme crash occurred in 2011 when Bitcoin plummeted 99.9% on the Mt. Gox exchange due to a massive hack. Hackers stole around 740,000 BTC belonging to users and 100,000 BTC from the company, then sold them for just Rp165 (one dollar cent) per coin.

Since Mt. Gox controlled 90% of Bitcoin’s trading volume at the time, the effect was extremely destructive. In an instant, almost the entire value of the crypto market evaporated. Converted to today’s prices, the 840,000 BTC lost is worth more than Rp1.55 quadrillion, equivalent to the combined assets of large companies like MicroStrategy, MARA, and Metaplanet.

2. April 2013: Mt. Gox Meltdown

Two years later, Mt. Gox was again a source of chaos. A DDoS attack paralyzed trading, triggering a massive sell-off. The price of Bitcoin dropped from €4.39 million ($265) to €2.49 million ($150) in just two days.

These attacks occur because the perpetrators deliberately wait for the price of Bitcoin to rise, then launch an attack to create market panic. Once the price falls, they buy it back at a low price – a pattern that repeats over several days and generates huge profits for the hackers.

3. December 2013: China Ban Panic

In late 2013, the People’s Bank of China announced a ban on banks dealing with Bitcoin. In a short period of time, the price of BTC, which had broken Rp19.9 million ($1,200), fell 50% to Rp9.9 million ($600).

Read also: 5 Hottest Facts in the Crypto World This Week

This policy marks the beginning of a series of crypto bans in China. Even former Fed Chairman Alan Greenspan called Bitcoin a “bubble with no intrinsic value,” compounding the panic among global investors.

4. September 2017: ICO Ban in China

China has shaken up the market again by banning Initial Coin Offerings (ICOs). Initially, investors assumed the ban would only target tokens, not Bitcoin. However, when reports emerged that local exchanges such as BTCC and Huobi would have to close, the price of BTC plummeted from IDR 72.9 million ($4,400) to IDR 54.7 million ($3,300) in just two days.

The crisis ended China’s dominance in global crypto trading, moving liquidity centers to Japan and South Korea.

5. December 2017: Leverage Unwind

When Bitcoin approached IDR331 million ($20,000) for the first time, the market overheated. The launch of futures contracts on the CBOE and CME triggered a massive sell-off. Within 24 hours, the price dropped from IDR273 million ($16,500) to IDR182 million ($11,000) – a 33% drop.

A few months later, a report by the San Francisco Federal Reserve concluded that the emergence of the futures market was the main cause of the price crash as it fueled excessive speculation.

6. March 2020: COVID “Black Thursday”

When the WHO declared a global pandemic of COVID-19, investors panicked and sold risky assets, including Bitcoin. Within a day, the price of BTC plunged nearly 50%, from Rp132 million ($8,000) to Rp80 million ($4,850).

Also read: 3 New Bitcoin Whale Behaviors After October’s Market Crash

More than IDR 16 trillion worth of leveraged positions were liquidated on exchanges like Binance and BitMEX. Even so, this crash paved the way for the great rally of 2021, where Bitcoin set a new all-time record.

7. May 2021: China Crackdown “Black Wednesday”

When Tesla stopped accepting Bitcoin payments, the market was shaken. But the real blow came a week later when China banned Bitcoin mining activities. Within 12 hours, the price of BTC plummeted from IDR 712 million ($43,000) to IDR 498 million ($30,000).

Mining came to a halt, network hashrate dropped sharply, and around IDR132 trillion worth of leveraged positions were liquidated. The crash marked the peak of regulatory pressure on crypto in Asia.

8. June 2022: Celsius Freeze and the Domino Effect

Following the TerraUSD (UST) crash, crypto lending platform Celsius froze withdrawals and swaps. Investors panicked, and Bitcoin fell from IDR430 million ($26,000) to IDR364 million ($22,000) in a day.

This incident caused a crisis of confidence in the entire crypto ecosystem, as Celsius had promised high returns for their crypto depositors.

9. November 2022: FTX Crisis and Bankruptcy

When FTX’s financial report was leaked and showed a major liquidity shortage, the market reacted immediately. Within 24 hours, Bitcoin dropped 17%, from IDR339 million ($20,500) to IDR280 million ($16,900), and even touched IDR258 million ($15,600).

Days later, FTX officially went bankrupt, shaking the global crypto market and marking one of the biggest digital financial crises in history.

Conclusion: Crashes Are Always Part of the Bitcoin Cycle

Every Bitcoin (BTC) crash brings valuable lessons about the volatility and resilience of the crypto market. From hacks, to government bans, to liquidity crunches, these factors show how fragile the young cryptocurrency ecosystem is. However, history also shows one thing: every major crash is always followed by a recovery phase and new innovations.

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities have high risk and volatility, always do your own research and use cold cash before investing. All activities of buying and selling bitcoin and other crypto asset investments are the responsibility of the reader.

Reference:

• Decrypt. 9 Biggest Bitcoin Crashes in History. Accessed October 19, 2025.
• Featured Image: Generated by AI